Cryptocurrency Payments Between Lawyers and Clients Are Under Scrutiny For “Ethical Reasons”

    Cryptos are finally getting closer to mainstream adoption, however, this means that they are also entering uncharted territory. Despite this being an important development, several reports affirm that cryptos may have still some legal issues associated with them, which can always be a problem.

    AMBCrypto has recently reported a story about how people paying lawyers with crypto are under scrutiny for legal and “ethical” reasons. Some sources cited by the crypto media outlet have affirmed that crypto payments can be an ethical risk for lawyers as cryptos are not fully regulated yet.

    Many law firms are accepting cryptocurrencies, but there are several risks associated with that. People from companies like Frost Brown Todd LLC, Steptoe & Johnson LLP, and McLaughlin & Stern LLP have already talked about accepting cryptos. However, they are willing to go to the dangerous territory as there is no consensus about the situation until now.

    The deputy general of Latham & Watkins, Mathew K. Roskovski, has told AMBCrypto that some lawyers decided to accept crypto to “look cool”, however, there is a discussion being made on the transference of these assets from client to lawyer. As it does not fit the model for trust funds, lawyers should be somewhat wary of accepting crypto as trust money, he affirmed.

    He affirmed that several unspoken rules come into play during a crypto exchange between client and lawyer, so they have to be equally committed to it. Some US states even have laws against that and there are always the topics of appreciation of assets and liquidity to take into account.

    Some law firms have also positioned themselves against Initial Coin Offerings (ICOs), saying that the regulation around them is simply too confusing and that they are not worth the hassle as the Securities and Exchange Commission (SEC) is generally very slow to solve the issues related to ICOs and there is a big ambiguity so far.

    That’s how the world is. When there is something new, it is bound to have some trouble associated with it. We are sure that situations like this one will be fixed in due time, but it is risky to be paid with BTC just yet.


    Get Free Email Updates!

    *Action* Enter Best Email to Get Trending Crypto News & Bitcoin Market Updates

    I will never give away, trade or sell your email address. You can unsubscribe at any time.

    Gabriel Machado
    Brazilian journalist who is interested in the future of the financial world. Has a special interest in the blockchain technology and the global financial markets. Covers economic and technology news with a focus on the fintech industry and has been writing about the cryptocurrency market since the start of 2017.

    [Alert] Use the author's self-conducted information at your own risk, do you own research, never invest more than you are willing to lose.

    [Disclosure] The published news and content on BitcoinExchangeGuide should never be used or taken as financial investment advice. Understand trading cryptocurrencies is a very high-risk activity which can result in significant losses. Editorial Policy \\ Investment Disclaimer


    Please enter your comment!
    Please enter your name here


    Live Bitcoin Price & Latest BTC Charts

    Today's Latest Crypto News

    Cash is King in Coronavirus Ravaged Economy But Bitcoin is “Next in Line to the Throne”: Hedge Fund Manager

    Mark Yusko, the CEO at Morgan Creek Capital Management says coronavirus is unleashing a once in a lifetime downturn. Yusko appeared on CNBC’s “Trading Nation”...

    Bitcoin’s is Gold 2.0; Billionaire Chamath Palihapitiya Lays Out BTC’s Path Forward in Macro Backdrop

    In the latest episode of The Pomp Podcast, host Anthony "Pomp" Pompliano had Chamath Palihapitiya, the CEO of Social Capital as a guest who...

    Binance ‘Leak' Signals Possible Bitcoin Options Trading Launch On The Exchange

    The competition across cryptocurrency exchanges in the crypto derivatives markets is heating up to a boiling point as yet another big player hints at...

    BTC Isn’t a Hedge Against Stock Market’s Poor Returns or Coronavirus But US Dollar & Inflation: BitGo CEO

    In 2020, Bitcoin has been following stock markets religiously, so much so that their correlation went to a new high. But now, the flagship...

    Netflix's ‘Tiger King' Villian, Carole Baskin at The Big Cat Rescue Accepts Crypto Donations

    With the Coronavirus (COVID-19) running rampant in the United States, Americans are drooling over the hot new docuseries on Netflix; “Tiger King: Murder, Mayhem...

    BitcoinExchangeGuide is a hyper-active daily crypto news portal with care in cultivating the cryptocurrency culture with community contributors who help rewrite the bold future of blockchain finance. Subscribe on Google News, see the mission, authors, editorial links policy, investment disclaimer, privacy policy. Got News? Contact us, we are human too. Note: nothing here is financial advice, do your own research thoroughly.